May 28, 2021 – In an effort to protect investors, B.C.’s securities regulator is proposing to create tougher rules for anyone promoting companies connected to the province.
The new disclosure requirements, the first of their kind in Canada and open for a 60-day comment period, would require anyone promoting a stock to disclose if they have a financial or other interest so that investors can better evaluate the promotion.
The new rules apply to all communications, including newsletters, financial blogs, emails, oral statements, social media posts, or videos.
The regulations would require promoters to disclose the name of the issuer of the stock on whose behalf the promotion is being conducted, whether compensation is being paid for the promotion, whether the promoters own securities or derivatives connected to the share issuer, and where the promotion is taking place. Any other facts that would interfere with the objectivity of the person doing the promotion must also be disclosed. Vancouver Sun reports. | READ MORE